Category rents rise three times in seven months by a total of 16 percent – AK wants one-time rent increase plus rent cap and welcomes housing umbrella also for energy cost debts
Vienna (OTS) – The category rents will rise even faster than feared a third time, shows the current AK inflation check. After the increase in April and June, the next one will already be triggered by the July inflation figure and will hit home in November. AK housing expert Thomas Ritt: “In only seven months the category rents would rise by more than 16 percent – that is unpackable. The Mieter:innen are abkassiert, the Vermieter:innen earn themselves a golden nose.” The AK demands: one-time rent increase per year plus cap. The housing umbrella helps not only with rent, but in the future also with energy debts – an effective protection and for many a vital lifeline, which should come quickly.
If inflation exceeds the five percent threshold, there will be an increase in category rents in old buildings. Category rents have already been increased twice this year, in April and June. The June increase was triggered by the February inflation figure. For existing contracts, the increased rent could be imposed for the first time one month later (i.e. now in July). Between February and June, consumer prices have already risen again by a whopping 4.6 percent. This means: the third increase will in all likelihood already be triggered by the inflation figure for July – it would then become effective for new contracts from November 1, for existing ones from December 1.
The AK has calculated: All three category rent increases cost an average rental household (about 70 square meters) about 450 euros a year more. For a quarter of a million tenants in Austria, this means additional costs of more than 65 million euros a year. “Many tenants will start to flounder with their rent payments. Energy prices have also risen sharply – and those who can’t pay their rent will hardly be able to pay their energy bills either. This will not pay off in the fall, especially for younger people and families and those who do not earn as much, front and back,” warns Ritt.
Housing must be affordable – the AK demands:
+ one-time rent increase in the year plus rent cap – take back inflation: Rents should not be increased more often than once a year and the increase must be limited to two percent – until the long overdue rent law reform comes. In addition, rent increases are to be rolled back in 2022.
+ Aid fund should also help with energy cost debts: The housing umbrella of the Ministry of Social Affairs, long demanded by AK and Mietervereinigung, will help with rent debts. Those who can no longer pay their rent in the wake of the Corona pandemic and are threatened with eviction will be supported. The assistance fund will also support when there are arrears on energy bills. This is a right and very important step and for many it is necessary for survival. The content is being worked out and, in the AK’s view, must be put on track without delay. “After all, the additional payments for energy and heating are already fluttering into people’s houses now!”, says Ritt.
Assistance with rent and energy cost debts
+ Housing umbrella helps with rent and in the future also with energy cost debts: https://wohnschirm.at/
+ What do with arrears with energy bill: What you can do, if you cannot pay your energy bill any longer: Down with energy prices for electricity and gas | Chamber of Labor
+ Apply for housing subsidies: In Vienna, you can apply for housing assistance from MA 50 if you have a certain minimum income: Tel.: +43 1 4000-74880, e-mail: firstname.lastname@example.org. In all other federal provinces, the respective office of the provincial government will provide information on this.
+ Excessively high private old building rent: Check your rent with the City of Vienna’s guideline rent calculator:
Are you paying too much? Apply to the housing law arbitration board MA 50: Tel.: +43 1 4000-744 98, e-mail: email@example.com. In the other federal provinces, tenant organizations and district courts provide information.
Vienna Chamber of Labor
(+43-1) 501 65-12677, mobile: (+43) 664 845 41 52
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